Asian stock markets have had divergent fortunes in today’s session with Chinese stocks rebounding following yesterday’s latest tech selloff, while local shares were dragged down by BHP losing 7% as it removes its dual listing in London. Concerns around COVID-19 in the US are still weighing on risk markets with USD still quite firm against most of the currency majors except gold which is closing in on the $1800USD per ounce level as safe haven buying accelerates:
The Shanghai Composite bounced back to finish 1.1% higher at 3485 points while the Hang Seng Index did well, but only lifting about half that or 0.55% to close at 25887 points. Japanese stocks are also in reverse mode with the Nikkei 225 taking back its previous gains to lift nearly 0.6% to close at 27585 points while the USDJPY pair is still hovering at a near two week low but has eked out some gains later in the session:
Australian stocks were the major drag due to BHP but also CSL with the ASX200 falling 0.1% to finish at 7502 points as the Australian dollar remains depressed here below the 72.70 level and still at a new weekly low:
Eurostoxx and S&P futures are slowly lifting going into the London open, the former up 0.2% but the latter still unsure of its direction this evening as the FOMC minutes come to hand. The four hourly chart of the S&P500 shows price anchored around the 4440 level as momentum reverts back to the neutral setting waiting for the inevitable BTFD crowd to step in yet again:
The economic calendar includes UK and Euro wide inflation prints for July, followed by the latest minutes from the recent FOMC meeting.